There always seem to be a mad rush amongst Forex traders to find out a single magic bullet or a golden key that (according to them) would double up as the solution to all of their Forex trading problems. And then they could not be blamed as well, because the markets are choc-a-block with people selling and peddling all sorts of magic wands like indicator info, tutorials, inside news reports and so on. Each new day sees a new stuff being peddled to Forex traders and the rush to acquire them begins all over again.

I know that it does sound a bit hard to digest, but there are so many instances in life when the best that you could do at that point is to do nothing. If you ask me, the most pervasive blunder that majority of the Forex traders are involved in is to go overboard in terms of action and in the process create obstacles to their own Forex trading success.

I suggest that you spend some time in analyzing your past trades where you lost money. When I say losses, I am definitely not saying about the usual kind of losses but those losses that made you tear your hair apart because you felt that you could have avoided them. These losses in all probability have been due to some kind of unwarranted “action” on your part, maybe you jumped the gun and tried to trade even when it was against your trading plan.

If you really are being straightforward here, then you will realize that you have lost a lot more of your money because of over-trading or getting too emotional with your trades and attempting to ‘micromanage’ them?

Stop Draining Away Your Success

If you actually are desperately trying to find ways in which to make money, then I think you need to first seal and bar all those leaking points and stop doing each one of those things that are draining away your chances of making a profit. The reason your Forex trading may not be lucrative at this point in your Forex trading career may be that you are basically doing too much.

Traders time and again hunt all around for some ‘magic key’ to profitable Forex trading and in the process forget to see the real problem, which in reality is their over-action.

The real ‘key’ to trading success, is not over-action, but inaction. Inaction at the right time can in fact be more profitable and lucrative than over-action at the wrong time.

Testing the Truth of the Matter

If you still are unconvinced about the benefits of inaction, I suggest that you put your actions to a test. A test that will unearth the real facts and truth of the matter.

Here’s what you need to do. Next trade that you are planning to take is the battle-ground. You will only set it up and then do nothing with it for one week. Set the trade entry, stop loss and target and hold yourself from looking at the charts again for a week.

If you do this, and truly do it without cheating, you will perhaps be shocked at the result. You will either have success in reaching your profit target, or will got stopped out for a pre-planned amount of money that you were comfortable with losing, or the trade might still be open.

The most important fact about any of these three circumstances is that the maximum you can lose is your 1r predetermined risk amount in a 7 day period. On the other hand, the positive aspect is much superior at hopefully a 2r profit or greater.

Now is the real difficult part of the test. Try to do some deep self-analysis, and just mull over the number of trades that you would have got involved in if you were not restrained in this manner. I am sure that you will say “too many” and that will certainly be an honest real answer. It goes without saying that the number of emotions and stressful situations associated with those “too many” trades will also be too many.

I strongly suggest that you indeed go through this little self-analytical experiment and do it perfectly and you will pick up something. If you cannot exercise self-control and maintain inaction for 7 days, you possibly don’t have what it takes to be a successful trader, so hold onto that thought as well.

Do Not Hinder You Own Success

No matter how many price action strategies, you may have mastered, you will never taste success, if you keep constantly meddling with your trades and engaging in over-trading.

For any of your successful trading strategies to work, you ought to give it time and opportunity to play out in the market, which in reality means doing nothing most of the time and just exercising self-control. Let the market do the ‘work’ and you go do something else, or nothing. Over-indulgence with your trades is only going to hinder your own success and result in losing more of your hard-earned money.

In case you still are finding it difficult to restrain yourself from over-action, then you can consider your losing trades as cost of doing business and the winning trades as your revenue. So, just as you cannot avoid incurring costs in doing business, similarly you cannot avoid losing trades. This kind of thought process will help in self-control whenever your fingers start itching to do something out of the plan of action.

In the business world, every niche has a pretty public face and then a not-so-pretty (sometimes ugly) face that is swept below the carpet; far from the prying eyes of the masses and competitors and investors. Well, it should not come as a surprise to you if I say that something similar keeps happening all the time in the Forex trading world as well.

No matter how cock-sure you may be feeling right now about knowing everything that is to know about trading Forex, there still are some hidden facts that were purposefully buried deep down below the surface to fool newbies and fresh entrants into the world of currency trading.

If you are wondering why I am revealing these dirty secrets, then let me tell you that I have no selfish intentions like those who were hiding these facts from you. This simply for the reason that I am not here to sell anything to you. I have no Forex trading systems to sell to you, nor am I a Forex trading broker and no – I am not even trying to get you to trade on my Forex trading platform.

1. Forex Trading Is Not Rocket Science

Yeah, I know that comes across as a rude shock to most newbie aspirants to Forex trading, because every other trader is trying desperately to complicate stuff. Do not let those dangerous-looking graphs, minutely designed charts and the multi-colored indicators force you into having a cardiac stroke.

No matter what others are trying to say, Forex trading is definitely not rocket science, but it is not a LOTTERY or gambling game either!

A successful Forex trader does not need any complicated college degree or an expensive training program or any kind of miraculous skill. You do not even need to be an ace at mathematics or be a financial genius to be a Forex trader.

In reality, being a successful trader is really more of a psychology-based skill than a technical or numbers-based skill like many people think.

What you really need and what really matters is emotional discipline and consistent patience.

2. Risk Reward Ratio is More Important

There are many traders who keep harping about percent returns and the newbie traders nowadays get to hear this stuff so much that they end up thinking that it is indeed a crucial criterion.

But in fact, the truth of the matter is that overall risk reward ratio is far more important than percent returns.

What benefit is a percent return statement if all you could manage is a mere doubling of a meager amount of money in your trading account? I personally feel that it says nothing about your overall performance or success or even proficiency as a Forex trader.

A professional trader usually has a solid plan/strategy and is adept at applying it each time with precision and has not only reaped benefits out of it but also must have withdrawn the profit margins countless times during the year.

So if you study such an account the opening and closing balance may not display stellar percent returns. But, here the most important fact is that you are not actually looking at the right variables. He must have actually reaped numerous times more profits than a greenhorn who boasts about 100 percent returns. If you just prod him for more details, you will see that he probably made just about a few hundred dollars in profit, when compared to the pro, who must have reaped quite a few thousands.

3. Forex Trading Will Test Your Patience

Not everyone involved in this Forex trading wants you to know that Forex trading is actually a huge test of patience. Maybe that is because they are all busy trying to sell you quick fixes, master keys and shortcuts to Forex trading success. They want you to believe that if you buy their stuff, you will be rich overnight and you will be able to earn millions of dollars in the business of trading money.

Forex trading is not gambling and nor is it a 9-5 job that will pay you each month like clockwork. Instead it is just a matter of getting the best out of the current markets and disciplining yourself to hang in there until the factors are favorable.

If you want to see a whirlwind success or a windfall, then you must pack your Forex trading bags and go to Las Vegas and try your hand at the casinos there.

If Forex trading is what you are looking towards earning money, then you must invest in learning the right techniques, knowing the right strategy, spend loads of time and have truck-loads of patience.

4. Desperation Will Only Backfire

To be honest, the more desperate you are to make money via Forex trading, the more difficult it actually turns out to be. You know you desperately want to quit your dreary job, and that thought finally overtakes your power or capability to even think logically.

When you sit down to trade, all you can think of is your boss’s boring face, when in reality you are dabbling in Forex trading only to avoid seeing him day in and day out. That is why I say desperation backfires.

Your frequent emotional roller coaster rides can turn out to be hara-kiri for your Forex trading career. Finding the right price action trading strategy is not easy and not going to be presented to you on-demand. You will need to patiently wait for it to pop up and that will require you to shed all of your desperation and emotions. That in turn could take weeks or months.

Simply entering a trade, because you cannot bear to look at your boss’s face on a daily basis is not the cleverest way to trade.

5. Forex Trading Could be More Boring than Your Current Boss

If you jumped into Forex trading after seeing commercials of Forex traders zooming around in sports cars and wearing tuxedos and partying on exotic beaches, then you probably are in for a huge shock.

Patience is a virtue and you know virtue is always boring. It lacks the adrenaline rush that goes with sinning (if you know what I mean). Forex trading will definitely seem boring and there are times when you would find even more activity at 3 a.m. in a sleepy old age home, when compared to your Forex trading room when you are lying in wait for the right variables and market conditions to offer you a great set-up to enter you trade for the day.

I am not saying that making money in Forex trading is a boring process, but professional Forex traders are the ones who have mastered the art of keeping their emotions away from their money and trades.

Their heart neither skips a beat with joy over a win nor do they end up having a stroke over a loss. They have disciplined themselves to work patiently, consistently and with precision like a surgeon who is operating in the operation theater. And they continue doing this each time they trade and thus can foresee much of the wins and losses, leaving no room for shocking surprises.

6. You Do Not Need Gimmicks

Once you get involved in the world of currency trading, you will be bombarded each new day with a new product that promises to generate cartloads of cash for you. Be it automated Forex trading systems or market platforms or software programs, your success in earning a profit from currency trading does not depend on any of these.

Lacking none of these factors contribute to why many traders lose money in Forex trading. You only need two free things like your brain and a free trading platform and few paid stuff like a laptop, an internet connection to get you going.

Learning the basics, mastering a technique, sticking consistently to disciplined trading and overcoming your emotional temptations are far more important than investing in those gimmicks that people want to sell you.

When you are speaking about Forex trading, it’s always about the money. Who would want to lose money? That too, when the stuff you are trading itself is money. Without much ado, let us chase right to the point and try to learn about squeezing maximum profits out of our forex trading.

Here are 9 keys to open the locks to lucrative Forex trades:

1) Focus on Quality rather than Quantity

There are umpteen trading strategies that use a variety of different indicators and signals in the currency or forex trading market. But that does not mean that you pursue each one of them and end up looking like a dog snapping at the fleas that are chewing on 100 different parts of his body.

Recognize and realize that successful trading of forex is not about the quantity or number of strategies that you apply or indicators that you use. It’s always about the quality of mastery that you can command over each of them.

Maybe it’s just one single forex trading strategy, but master it to such an extent that you could wake up from coma one day and instantly get back to applying that particular trading strategy to your forex trading, without batting an eyelid.

And how do you know if you have reached that kind of fluid mastery? Well, if you ask me then I would ask you to do 2 things. First of all, try explaining the strategy to your five-year old kid. Second, repeat successful trades using that technique.

If you can efficaciously do both of these, then pat yourself on your back. You, my dear friend are hereby declared the MASTER of that particular forex trading strategy.

2) Don’t Make It a Matter of Chances

There are many Forex traders out there who seem to base each of their trades on gut feeling and are almost always on an emotional roller coaster after entering their trades in the market. This is purely irrational and highly dangerous. If you use your logic and reasoning and have a price action trading plan to target, then you are automatically increasing your chances of success.

Having a plan chalked out means you are capable of recognizing how the market works and you can immediately spot an opportunity when it forms. Once you see a set-up taking shape in the market trends, you do not waste even a millisecond and jump into it and grab the bull by is horns.

That is the right way to profitable forex trading and forex traders who do this have nothing to worry much or lose sleep over. Trust me, they can even set-up trades, place a stop and target and then go blissfully to engage in any activity that they enjoy the most.

3) Maintain a Record of Your Forex Trades

Records are boring and no one wants anything to do with boring. But if I say that maintaining a consistent record of your usual forex trades is not only necessary but one of the crucial keys to unlocking forex trade profits and treasures, then why in the world would you not do it? Give me one good reason please.

Yeah, you read that right. Maintaining a forex trading journal may not be a smooth and interesting thing to do, but it definitely is lucrative. That is how you can keep track of what works and what does not.

As I mentioned previously, you certainly do not want to reduce your forex trades to a game of chance. You must have a sure-shot and clear record of what you did last time to reap the profits. And you also need a record of the loss-producing dangerous moves that you took, so that you steer clear away from all of them, next time and every time you trade currencies.

4) Forex Markets Don’t Work for You

Hmm, that may sound a bit rude, but the sooner that you accept the fact, the better for you. The economic or the currency market is not obliged to favor you or any other Forex trader for that matter. But if you want to milk out all the benefits out of the markets, you have to design your work in such a way that it favors the market trends.

So to cut out all the unproductive hours that you plan to waste on getting trade secrets and opinions of some financial news analysts. Unless the live and current movements of price chart in front of your eyes is truly and clearly reflecting a positive set-up, do not trade.

5) Don’t Trade Your Peace

Even if you are promised billions of dollars in exchange for your mental peace, do not trade. Because after all you are winning some to lose all. To cut a long story short, never trade more than you can afford to lose. If you are comfortable losing a million, then go ahead and trade that million dollar.

But if you can’t afford to lose even one hundred bucks, then stop right there buddy. What matters most in becoming a successful Forex trader is the number that affects your peace of mind, not the numbers reflected in your bank account. You may have millions lying in your account as bank balance, but trade only as much as you can comfortably and peacefully lose (in case of an unfortunate trade)

6) Be Consistent

Consistency is key and I am sure you heard that a million times before. But have you ever tried to implement that idea as consistently as you have heard of it? Forex trades or any trades for that matter have their own ups and downs.

No business in the world can guarantee only profits and zero losses. But sticking to what you know is right is the key to reaping success. Don’t make a move here and a move there and then expect to gain profits in the currency trade.

You have to be consistent and stick to the right moves and you will certainly reap your rewards.

7) Don’t lose Confidence

Speaking of consistency, you also need to know how important it is to maintain your confidence. Many traders master a technique, implement it and even reap a profit or two from it. But then comes in their first loss, and they lose all confidence.

No matter how great your preparation, there are bound to be some highs and lows when you involve yourself in forex trading. Do not let a few lows shake up your confidence levels.

It is the panicking and freaking out that are contributing more towards Forex trading failures, rather than anything else. But it’s a rare few of the forex traders who realize this and even rarer are those who realize this in time.

Keep repeating to yourself that you are indeed on the right track and there is absolutely no need to get anxious or nervous. Just hang in there and motivate yourself to keep going and half the battle is won.

8) Reward Yourself at the Right Time

Though every Forex trader out there takes a plunge into forex trading with an intention of reaping rewards, there are high possibilities of losing track of this over time. It could be due to greed, due to frequent losses or maybe due to circumstances, but for some reason or the other, it is common among Forex traders to hesitate from removing the rewards from their initial capital.

They keep reinvesting and inflating the original amount that they were ready to invest when they were just beginning to trade money.

Not only does this inflate your risks, but it is also against rules of profitable forex trading and also going to prove detrimental in the long run.

Removing rewards or profits from your trading will not only help in insulating your initial capital, but also helps in motivating you to keep going. And I personally feel that this is even more advantageous than the monetary benefit, because no matter how many master strokes you have learnt or profits you have earned, everything can come to a standstill if you are not motivated enough to continue.

9) Avoid the Green Eyed Greed Monster

Greed is possibly the most dominant cause for failure of Forex traders. I have some effective tips for those who feel it difficult to keep away from the greed monster.

Target a goal before you enter the trade. It is always recommended to have your plan set in stone BEFORE you enter the trade because you really have no time once you are inside and LIVE. Once you are in, you are in a high voltage environment and in no position to think rationally or logically. No matter how strongly your “intuition” or “gut instinct” thinks that the markets are going to change, they are just side effects of the high energy situation. It is important to understand that the right time to take decisions about your exit strategy or exit point is NOT during your live trade. It is always BEFORE you even enter the trade. Your entire forex trading profit strategy is based on a certain price action chart and you plunge into live trade when you see the set-up forming.

Another trap that most traders fall into is trying to fiddle with stop loss levels during live trades. They have a particular stop loss decided before entry in to live trade, but once they start trading live, they want to move the stop loss further because they sense that things are not going according to what THEY expected. They clearly know that they are about to encounter a loss and this is the exact point where emotion tries to take over reason and discipline and rules. They now start hoping for a profitable change in the market and this hope is totally based on emotions and NOT any kind of logic. Never start fiddling with your stop loss levels AFTER entry in to live trade. I think that these traders fall into this trap because of the same old green eyed monster called greed.

Another tip to stay away from greed is to be satisfied with a fine 1:2 risk reward profit. If there is no understandable purpose to attempt at trailing your stop, then do not think twice to dive in for the profit! You must realize that the Forex market is on constant ebb and flow and the chances of it taking a move against you is more than its sway in your favor if it’s already rewarded you with a profit amount twice your risk. Don’t allow greed to tempt you into unnecessarily keeping trades open long after you could enjoy decent profits.

Don’t start moving your stop up just because the trade pops in your favor the first 10 minutes you enter. Give the trade some room to grow and breath. Trading is like a garden, you have to give it time to grow to taste its fruit.

It is more common for forex traders to jump the gun than what people usually think. Every trader does begin with great intentions and ideals, but at some point or the other during live trading, the green eyed monster called greed takes over. And that is when you know for sure that disaster is imminent.

I am mentioning this towards the end of the post because I feel it is the most important. You have learnt everything, and are doing everything right, but if you don’t know where to stop, you could land yourself in major trouble.

If you are looking towards making consistent profits as a forex trader, then there is one thing that is quite crucial for you and that is discipline and self-restraint. Despite being such a vital part, majority of the newbie forex traders struggle to maintain self-control when trading live.

This post will hopefully motivate you to discipline yourself better by emphasizing on the how and why of disciplined forex trading.

What Makes Discipline So Crucial for Profitable Forex Trading?

Make no mistake about this – there can be no success in forex trading without a high degree of discipline. And the weird part is that almost every trader is aware of this basic rule of forex, irrespective of being a pro or an amateur.

But the real difference between a pro-forex trader and a newbie is that the pros walk the talk, while the newbies only talk. When it comes to action, they tend to rationalize and use some kind of twisted logic to avoid discipline until they can manage to rake in a fixed amount of money.

Trying to justify the lack of discipline is one of the crucial blunders that almost all traders make at some point. But remember that this is basically a slip-up created because of your greed, and greed is a major obstacle to your forex trading career in the long run.

It can single-handedly finish off all the balance in your trading account like a tornado. Anavaricious trader always tries to stack a lot on his trades and in the process will risk too much per trade.

But remember that over-trading and over-leveraging are the two focal points why most forex traders lose money.

The most important thing that you need to keep in mind if you are aspiring to become a successful forex trader is that you need to maintain strict control over your greed.

If you want to stay for long in the forex trading market you need to rake in profits and for that you will need to inculcate certain habits that are positive and constructive. Habits have a huge impact on your life and possess the ability to outline your life situations and can also determine how much success you attain in the things that you do.

It is a regrettable fact that for a majority of people, it seems to be a humongous ordeal to inculcate the habits of a successful forex trader.

The problem with majority of the forex traders is that they have inculcated negative habits that can take away all chances of building a profitable trading career and these habits have a very strong hold over them. It is as if they have guaranteed their own failure even before they have even entered the markets.

For example, most of the traders have high hopes of making quick amounts of money and they dream of quitting their regular day jobs but have relatively tiny amounts of capital which they can hardly afford to lose or risk in forex trading.

So basically what happens is that they are playing a huge gambling game and the battle is against their emotions on one side and the stark reality on the other side.

But the sad fact is that they don’t realize how things work. The more desperate they are to make money the farther they get thrown from the remotest chance to make any of it.

If you want to make money and succeed in forex trading you must first learn forex money management. There are two options to do this effectively. First is to have a decent sized trading account balance, with at least $1000 in it. Or you can do another intelligent thing and that is to use other people’s money to trade.

No I am not asking you to do anything illegal like plundering or hacking accounts belonging to other forex traders. Instead I am suggesting that you display stellar performance with your trades and consistently generate profits.

This will make your trading seem attractive to investors and they will be motivated to invest their money in your account and you can think of it as if you are getting a trading job done. But bear in mind that you need to rake in remarkably consistent levels of profits with your forex trades.

Vital Steps in Building Positive Habits

Once you have wholly understood how to manage your forex account in an effective and profitable manner, you can slowly start efforts at building new forex trading habits. As discussed earlier, these habits are the very foundation of building a profitable and long term forex trading career. But since habits take time to be inculcated you need to have a proper plan to build new constructive and positive forex trading habits.

Among the first of the many steps in building positive habits, is to know, recognize and master an effective trading strategy that will help you rake in profits when you trade live. But having a master strategy by itself is not going to bring in any benefits. Next you will need a solid forex trading plan which will be your monitor or blueprint while trading live in the forex market.

Next among the steps is to create and maintain a forex trading journal. Proper and effective trading plans and trading journals are both hugely important tools that any profit making and successful forex trader can have in his or her forex trading kitty.

You certainly will need to remain determined and alert and keep on reminding yourself of the significance of discipline. And this needs to be done each time that you routinely trade the live forex markets.

Because if you ask my opinion, I think if there is anything more difficult than adopting a new habit, then it is consistent and constant maintaining of that newly learnt and inculcated habit. It surely seems to be very difficult at first, but do not lose hope. If you can successfully keep reminding yourself of the many benefits and profits that you will be possibly raking in while you trade the live forex markets in future.

It is common knowledge that Forex trading is highly risky. But if you look at the statistical facts, trading forex over long durations with a 1:1 risk reward ratio, even without any strategy or trading edge should be effective at bringing in 50% chance of success. Thus, maximum number of forex traders should just about breakeven.

But the real picture of the Forex trading market is totally different.

Have you never ever wondered what makes the reality to be so far from the statistical facts then? What are the reasons that are making majority of the Forex traders lose money, if they actually could be breaking even without any loss or profit?

Can Human Factors Increase Risk Of Losses?

Maybe the chief cause for financial loss for most of the Forex traders is their diminishing self-control. Poor self-control also means inability or incapacity to fight the enticement of over-trading and over-leverage.

I personally think that this is especially since they feel that there is no one to be answerable to. Another chief cause that is making Forex traders to lose considerable amounts of money is for the simple reason that they do not stick to their pre-determined strategies at the time of trading the Forex market live. Something or the other happens and they just change decisions at the final moment.

In addition to the above mentioned reasons there are 6 more solid factors that contribute towards your failure as a forex trader and I have decided to discuss about each one of them in great detail in today’s post.

Playing the Blame Game

Playing the blame game is easier than doing anything else in this world. Owning up to your responsibilities and agreeing to one’s own mistakes is certainly not every person’s cup of tea.

If you find yourself to be encountering a whole lot of losing trades, that too on a consistent basis, then you must agree and accept the fact that the fault indeed is somehow related to you or your behaviour. Is there any logic or sense in trying to accuse your trading platform or maybe your Forex broker or the markets or the Forex trading softwares that you are using?

I am not saying that you are to blame if you have been cheated by some charlatans selling you dubious Forex related products. But if you keep buying such dubious products over and over again and are naïve enough to be taken advantage of every time, then you and only YOU are to blame.

Old Style but High Hopes

Over-trading is the next important factor that undeniably inhibits maximum number of traders from making money in the market. Traders who enter and exit the live trades in the market based on sentiment and greed, will not only encounter a lot more of losses, but they will also have to shell out a lot more of their hard earned money by way of fees for spreads and / or commissions per annum when compared to the other traders who prefer trading in the higher time frames and also do appreciate the importance of restraint and showing patience.

The issue with trading lower time frames is that it often clouds the reality and fools traders into thinking that there are a lot of trading signals worth making money, when in truth all of those are just false alarms.

If you too belong to this category of traders, you need urgently re-evaluate your trading style and try out higher time frames.

Treading a Thin Line

Often times newbie Forex traders get very happy because of back to back wins while trading forex. Immaturity leads these traders to think that the winning streak is going to continue for ever and they keep risking more money than they can afford in a lifetime, and keep trading more and more.

That is exactly when the tide changes and within a fraction of seconds, they lose a lot more than they made and are now facing more losses than they can handle. Blame it on the lack of maturity and experience or accuse the human factor that comes into play via emotions and greed. But the truth is that you must decide what your answer would be if someone ever asked you,” Are you a forex trader or gambler?”

Professional forex traders always aim at mastering price action trading, but it is imperative to bear in mind that this will only give you an upper hand. Simply because you have mastered a particular strategy, does not mean that the favourable conditions will automatically play out during each of your live trades.

In short, you should realize and implement a simple thing and that is to avoid taking unnecessary risks.

It is better for you if you maintain your risk amount as approximately constant when compared to your total account value. The only time you can even think of escalating your risk per trade is if your account value grows, not in any other case.

Ignorance is Not Bliss

The next most important factor that can ruin your chances at making any favourable profit in the Forex trading market is lack of a proper Forex trade management plan. This is a pretty common feature, especially among the amateurs that they do not know a thing about how trade management works or what the heck it is.

And the worst part is that they do not even bother learning about it either. Emotions and negative habits like greed and indecision and lack of patience can all play havoc and jeopardize all you chances of making a winning move while trading forex live.

Having a Forex trading plan in general and a robust trade management plan in particular, plus maintaining a forex trading journal are some of the things that need to be implemented with urgency for every forex trader ambitious of tasting success.

Random Acts of Forex Trading

Traders who do not have a convincing trading method are axing their own feet by entering into live forex trading. There are numerous Forex trading strategies out there. It is humanly impossible to know and learn about each one of them, but the good news is that you really do not have to do that at all.

You only need to truly master one Forex trading strategy at a time and you will essentially eradicate the monster called fear and eventually will also have more confidence in your own trades.

The crucial point to be noted here is that you have to assert your mastery over at least one effective forex trading strategy, like for example price action. Most wannabe traders keep hopping from one Forex trading strategy or system to the next one, and this process goes on endlessly. So, finally such Forex traders never ever get a chance to truly excel at any single method.

So, the first prerequisite for a successful Forex trader is to decide from among all of the price action strategies and pick up just one truly effective trading strategy out of them, and then put in sincere efforts at mastering it.

Stop Looking for the Rainbow

Lastly, one factor that is undeniably common to all of those Forex traders who are currently losing money in the markets is that they have impractical hopes. They keep looking for the rainbow even when there is no ray of sun shining out there.

It is one thing to be optimistic and totally another thing to be living in a fool’s paradise. How can you expect a fortune when all you got to trade with is a paltry sum of $500?

Be realistic and keep your eyes, ears and most important of all- your mind open to reality. Also keep conducting reality checks frequently.

Forex money management cannot be overlooked at any point of time as well, because it definitely is among the list of habits of successful traders.

Affiliate Disclaimer

IMPORTANT: Please note that some of the products promoted on this website are owned by other companies, and we promote them as their affiliates. We get paid a commission on every sale that is made. However, you can be certain that we only recommend products with the highest quality. For more details, please see my FTC Disclaimer.

Disclaimer: Any Advice or information on this website is General Advice Only - It does not take into account your personal circumstances, please do not trade or invest based solely on this information. By Viewing any material or using the information within this site you agree that this is general education material and you will not hold any person or entity responsible for loss or damages resulting from the content or general advice provided here by www.ForexTradingOnTheGo.com, it's employees, directors or fellow members. Futures, options, and spot currency trading have large potential rewards, but also large potential risk. You must be aware of the risks and be willing to accept them in order to invest in the futures and options markets. Don't trade with money you can't afford to lose. This website is neither a solicitation nor an offer to Buy/Sell futures, spot forex, cfd's, options or other financial products. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed in any material on this website. The past performance of any trading system or methodology is not necessarily indicative of future results.

High Risk Warning: Forex, Futures, and Options trading has large potential rewards, but also large potential risks. The high degree of leverage can work against you as well as for you. You must be aware of the risks of investing in forex, futures, and options and be willing to accept them in order to trade in these markets. Forex trading involves substantial risk of loss and is not suitable for all investors. Please do not trade with borrowed money or money you cannot afford to lose. Any opinions, news, research, analysis, prices, or other information contained on this website is provided as general market commentary and does not constitute investment advice. We will not accept liability for any loss or damage, including without limitation to, any loss of profit, which may arise directly or indirectly from the use of or reliance on such information. Please remember that the past performance of any trading system or methodology is not necessarily indicative of future results.